Navigating compliance in joint ventures: Building trust, bridging cultures and driving innovation

By Hassan Chaudry, 7 July 2025

Joint ventures (JVs) offer many opportunities to bridge expertise and innovation across industries, but they also bring unique challenges. 

I’ve seen this first hand as the Chief Compliance Officer (CCO) at Ultium Cam, a JV between South Korean company POSCO Future M (PFM), and the American multinational General Motors (GM), focused on the electric vehicle supply chain. In this role I’ve navigated the intersection of diverse corporate cultures, regulatory landscapes, and operational priorities. I’ve also had to adapt to being at a company doing business in a third country: Canada. 

Here, I share insights and actionable strategies for compliance professionals in other JVs.

Building trust through relationships

One of the first actions I took in this role was to meet face-to-face with JV leadership. By engaging leadership with a clear message – ‘I’m here to help you make smart decisions’ –  I positioned compliance as a partner rather than a roadblock. Building these relationships is essential for understanding their perspectives, gaining buy-in, and ensuring that compliance becomes integral to decision-making.

Developing a comprehensive compliance manual

Not all markets are familiar with a designated CCO. In some Korean companies, compliance responsibilities might be spread across various departments. GM came into this JV with a clear expectation for a dedicated CCO role – which made my life a bit easier. I just had to fine-tune the delivery.

To provide a structured and accessible framework, I developed a compliance manual filled with graphs and visuals, hosted it on our company intranet, and shared it with both partners. Importantly, the legal counsels of the JV were part of the drafting conversations, making the manual a collaborative effort. 

The following were all key components of this compliance manual:

1. Programme framework: A visual map illustrating how compliance integrates into the organisation, which emphasised:

• Promoting high performance with high integrity.
• Preventing, detecting, and addressing misconduct through technology, people and processes.
• Driving real-world compliance.

2. Multi-jurisdictional global standards: Alignment with the US Department of Justice (DoJ) guidelines, the Organisation for Economic Co-operation and Development (OECD) frameworks, Canada’s Competition Bureau guidance, the South Korean Anti-Trust Law, and the United Nations’ Sustainable Development Goals (SDGs).

3. Applicable laws: Focusing on critical regulations relevant to the JV’s footprint, such as Canada’s Corruption of Foreign Public Officials Act (CFPOA), the US Foreign Corrupt Practices Act (FCPA), and South Korea’s Improper Solicitation and Graft Act (KISGS).

4. Three lines of defence: Clarifying these roles in risk management.

5. Compliance reporting structure: Sharing how I reported solid-line to the Board and dotted-line to the President. A nice reminder that in compliance, structure matters.

6. Programme overview: Summarising core elements like the Code of Conduct, policies, training, the whistleblower system, and third-party risk management.

7. Contact information: People need to know where to find you, especially when something goes wrong, or when they are seeking a second opinion.

This manual became a foundational resource for all stakeholders.

Presenting a 90-day plan

Given the JV’s Board structure, I quickly outlined a high-level 90-day compliance plan to demonstrate the function’s value and set measurable goals. This plan included:

• Identifying immediate compliance risks.
• Setting up communication between both partners’ compliance teams.
• Establishing minimum quarterly reporting to the Board. (Beyond that, I had informal check-ins over coffee, Zoom, or hallway chats with members of the Board.)
• Monthly meetings with JV management on business updates, where I added value from a compliance lens.
• Participating in social events. (Turns out, bonding over playing pool or participating in potlucks can do wonders for cross-cultural compliance alignment.)
• Implementing ‘quick wins’ like a whistleblower hotline and initial policy reviews.

Balancing expectations between JV partners

Once the compliance manual was finalised, I created a compliance charter. Since I was close to the business, I had creative control, but both partners’ legal teams remained involved. And yes, that sometimes meant early mornings or late-night calls, but it was a small sacrifice worth making.

This is what the compliance charter covered:

• Defined roles and responsibilities: Ensuring clarity (and fewer ‘I thought you were doing that’ moments).
• Regular check-ins: Frequent meetings addressed priorities like employee training, tech platforms for due diligence, and investigative protocols. Each company had a different way of handling these, so consensus required a bit of finesse.
• Adaptability: Compliance isn’t a fixed playbook, it evolves and must be adaptable. Our charter reflected that.

Top tips for JV compliance professionals

Based on my experience, here are five overarching pieces of advice on how to approach compliance in joint ventures.

1. Prioritise relationships: Understand the cultures, motivations, and even quirks of everyone involved, including expats, local hires, and functional leads (especially within Health and Safety, Environment, Procurement, Finance and HR).
2. Be adaptable: Flexibility is critical when balancing the varying practices and expectations of JV partners.
3. Embed compliance into operations: Position compliance as a value-add, not a bottleneck. When people see you as a value-add, you get invited to the table early.
4. Leverage technology: AI and data tools can elevate your game. I was fortunate to tap into GM’s analytics team. But I also made it a point to learn, knowing borrowed resources don’t last forever.
5. Communicate proactively: In a joint venture, transparency isn’t just best practice – it’s a cornerstone of success. Keep key stakeholders regularly informed about compliance initiatives and developments. Involve them in decision-making where appropriate. This helps ensure alignment across all parties and prevents any partner from feeling out of the loop. Minimise surprises, especially the kind that come from hearing something first from the other partner. This goes a long way in maintaining trust, reinforcing your credibility, and strengthening your reputation within the organisation.

A diverse and rewarding career

My compliance journey has taken me across industries – automotive, construction, advertising and real estate. Each stop has added a new tool to the belt. I’ve come to appreciate the versatility of this field, as each role has enriched my understanding of compliance and prepared me for new challenges.

At Ultium Cam, I embraced the start-up spirit – hard working, innovative, and driven. Even with two giants in the room, we are building something special.

For those stepping into JV compliance roles, remember you’re not just checking boxes. You’re helping shape a culture where doing the right thing becomes second nature. Your role is not just to enforce regulations, but to act as a catalyst for smarter, ethical decisions. By integrating compliance into operations, you can help drive both integrity and innovation.